From Nasdaq: 2025-01-17 05:06:00

In three days, Donald Trump will begin his second nonconsecutive term as President of the United States. Concerns arise over his plans to implement a 35% tariff on imports from China, potentially straining trade relations and increasing costs for American consumers and businesses.

President-elect Trump’s focus on lower tax rates may worsen federal deficits and increase the nation’s debt, which currently stands at over $36 trillion. Additionally, his administration will reshape the future of artificial intelligence (AI) in America, tapping into a $15.7 trillion market.

AI stocks have soared in anticipation of the technology’s potential impact, with companies like Nvidia and Broadcom surpassing trillion-dollar market caps. President Trump’s policies are expected to foster innovation, deregulation, and potentially more mergers and acquisitions in the AI industry.

One key policy Trump is likely to continue from the Biden administration is strict export restrictions on high-powered AI chips to China. Despite favoring deregulation, Trump’s America-first focus may lead to continued restrictions on AI-GPU shipments, impacting companies like Nvidia.

Investors are advised to consider potential policy changes and restrictions under the new administration before investing in AI-related stocks like Nvidia. The Motley Fool’s analyst team has identified 10 alternative stocks with high growth potential, offering a blueprint for successful investing.



Read more at Nasdaq: President-Elect Donald Trump Will Take Office in 3 Days, and He’s Set to Reshape the Future of Artificial Intelligence (AI) in America